What is an NPI?
The National Provider Identifier (NPI) is a unique 10-digit identification number assigned to healthcare providers by the Centers for Medicare & Medicaid Services (CMS) in the United States. It's used for all standard transactions in the healthcare industry, including billing, claims processing, and sharing of healthcare information. Read more on NPIs here.
How to create a Type 2 NPI:
Step 1: Determine Eligibility
Healthcare providers are organizations, including physician groups, hospitals, nursing homes, and corporations, formed when individuals incorporate themselves.
Organizations must determine if they have "subparts" to be uniquely identified in HIPAA standard transactions with their NPIs. A subpart is a component of an organization's health care provider that furnishes health care and is not a separate legal entity.
Examples of subparts may include different elements of an organization's health care provider, such as various departments of a hospital, and separate physical locations of an organization's health care provider, such as the different locations of the members of a chain.
If you are an individual who is a health care provider and who is incorporated, you may need to obtain an NPI for yourself (Type 1) and an NPI for your corporation or LLC (Type 2)
The type 2 NPI should be created in the owner's NPPES account. You do not need to create a second account for the type 2 NPI.
Step 2: Gather Required Information
Before you read further on how to create a type 2 NPI, make sure you have the necessary information handy.
This includes
Provider Name
SSN
Provider Date of Birth
Country of Birth
State of Birth (if Country of Birth is U.S.)
Provider Gender
Mailing Address
At least one Practice Location Address and Phone Number
At least one Taxonomy (Provider Type)1
State License Information2
At least one Contact Person Name
At least one Contact Person Phone Number and Email
Step 3: Access the NPI Enumerator Website
To begin your NPI application, visit the National Plan and Provider Enumeration System (NPPES) website at https://nppes.cms.hhs.gov/. To learn more about the sites, read more here.
Step 4: Fill Out the Application
A.  Once you're on the website, you'll click "Apply for an NPI for an Organization".
Upon selecting the radio button, "I am an employee of the Organization," you will be navigated to the Introduction Page.
B. The Organizational Provider Profile page captures the organization profile information associated with a Type 2 NPI.
Employer Identification Number (EIN)
The Employer Identification Number (EIN) is issued by the Internal Revenue Service (IRS) to identify a business entity. SSNs should never be reported in the EIN field.
Organization Name (Legal Business Name):
Provide the full legal business name of the organization. This name must match the IRS's name on file for the Employer Identification Number (EIN). This is a required field, hence indicated with a red asterisk sign. If the Provider Organization's EIN is already in NPPES, you can select the LBN from a dropdown list. If the Provider Organization's EIN is not in the system, you will be required to enter the LBN.
Is the organization a subpart? :
You are required to identify whether or not the organization is a subpart. Select the' Yes' radio button if the organization is a subpart of another organization. If it is not, choose the radio button that indicates 'No.'
Is the parent EIN the same as the subpart EIN?
If you select 'Yes' indicating that the Provider Organization is a subpart, the system will ask you if the Provider Organization's EIN is the same as the Parent Organization's EIN. Select 'Yes' if the EINs are the same, or select 'No' if they differ.
Parent Organization EIN:
If you selected 'No' indicating the Parent EIN is different from the Provider Organization, you will be required to enter the Parent EIN.
Parent Organization LBN: If you selected 'No' indicating the Parent EIN is different from the Provider Organization, you will be required to enter the Parent Organization's Legal Business Name (LBN). If the Parent EIN is already in NPPES, you can select the appropriate LBN from a dropdown list. If the Parent EIN is not in NPPES, you will be required to enter the Parent Organization's LBN.
Other Name:
If your organization uses or previously used another name, supply those other names here. This information is not required. You can enter one or more "other" names.
Type of Other Name:
Select the 'Type of Other Name' dropdown list. You can select from the following three options. Doing Business As Former Legal Business Name * Other Name
Other Organization Name:
Enter the Other Name(s) by which the Provider Organization is known.
Organizational Other Names Grid and Navigation Buttons
The following are the navigation buttons associated with the Other Name section:
Clear Button: Upon selecting the 'Clear' button, the information populated in the Other Name fields will be cleared.
Save Button: Upon selecting the 'Save' button, information populated in the Other Name fields will be saved to the Grid.
Authorized Official For the Organization:
Provide the full legal name of the Authorized Official for the organization. An Authorized Official is an appointed official with the legal authority to make changes and updates to the provider's status (e.g., change of address, etc.) and to commit the provider to fully abide by the laws and regulations relating to the National Provider Identifier. The authorized official must be a general partner, chairman of the board, chief financial officer, chief executive officer, direct owner of 5 percent or more of the provider being enumerated, or must hold a position of similar status and authority within the provider organization.
Authorized Officials Name and other details:
Prefix: Select the appropriate name prefix from the dropdown list.
Dr.
Miss
Mr.
Mrs.
Ms.
Prof.
First Name:
Provide the First name of the Authorized Official. This is a mandatory field.
Middle Name:
Provide the Middle Name of the Authorized Official. This field is optional.
Last Name:
Provide the Last Name of the Authorized Official. This is a mandatory field.
Suffix:
Select the Authorized Official's name suffix, if applicable, from the dropdown list.
I
II
III
IV
V
VI
VII
VIII
IX
X
Jr.
Sr.
Credential(s): (M.D, D.O, etc.)
Providing the Authorized Official's credentials is optional.
Title/Position:
Provide the Title and or Position of the Authorized Official of the Organization. This is a mandatory field.
Telephone Number:
Provide the Telephone Number. This is a mandatory field.
Extension:
Provide Telephone Number Extension, if applicable.
C. Finish entering in your demographics. It's good to enter any languages spoken at the practice. Insurance companies and patients will see this information and you'll be able to reach a wider audience with multiple languages.
D. Next, you'll enter in the mailing address and practice location. You can have more then one practice location but only one mailing address. If you are telehealth practice, enter your home address or the address you provide telehealth services from.
E. This section is optional and usually skipped. Endpoints offer a straightforward, secure method. They allow users to transmit authenticated and encrypted health data directly to trusted recipients.
To enter your Endpoint information, the following fields are mandatory:
Endpoint Type
Endpoint
Endpoint Location
Is the Endpoint affiliated to another organization?
Affiliation Legal Business Name (LBN) when Endpoint is affiliated to another organization.
F. This section is also optional and usually skipped. You may enter Legacy Numbers, Medicaid numbers, and other state Identifiers if you have them.
Do not enter the following into this section.
SSN
Tax ID
DEA
Medicare PTANS/IDs
G. This is where you will enter the contact information. It's best to enter the owner's information.
You'll see the following information.
Name:Â Make sure it's the legal name, no nicknames
 Credential(s): (M.D, D.O, etc.)Â
Title/ Position:Â Owner/Authorized Official.
Telephone Number and Extension:
Contact Person's Email:Â
H. Next, you will enter your taxonomy.
A taxonomy is basically your job description. It's a description of the services offered to patients. Not to be confused with your specialty but for an individual, they will be the same thing.
For individuals, if you were a nurse practitioner, your taxonomy will be 363L00000X Nurse Practitioner.
For a practice, if it's a multi-specialty then you should choose the taxonomy that covers all of the services offered. If it's a single specialty practice, such as a practice of all MD Internal Medicine providers, you'd choose that specific specialty, Internal Medicine.
For more information about choosing a taxonomy, click here. For the complete list of taxonomies, visit NUCC's site here.
I. At the end you can review any errors. The errors will be in red so you know which section to check and correct. When all sections are green, you will be able to submit the application.
Step 5: Submit the application Once you confirm the information is accurate and correct, you can submit the application. You'll receive a confirmation page with a tracking number. NPI's are usually approved anywhere from immediately to 48 hours.
Congrats! You submitted your NPI application! Keep an eye on your email for approval or check the site to see when it's approved. You'll see a confirmation date and your new NPI number.
If you need any clarification on how to fill out this application, schedule a free consultation today!
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